Ask Larry

Hello again Larry.

Thank you for answering my recent question so quickly. It was very helpful. Since you answered it, another question has come up for my husband. He will be 70 in October, 2021 and planned on applying for his social security on his birthday. However, this year he will earn more working full time as a math teacher than any other year he has worked. So, should he wait until 2022 to apply so that his benefits will reflect the highest paying job? As I recall the SSA takes the highest of your earning years out of all that you have worked to compute your benefit.

Thank you in advance again.

Lisa

Hi Lisa. Social Security does use an average of a person's highest 35 years of Social Security wage-indexed earnings to calculate their Social Security retirement benefit rate. However, there's no reason for your husband to wait past the month he reaches age 70 to claim his benefits.

Social Security can't use your husband's 2021 earnings in the calculation of his benefit rate until effective with his payment for the month of January 2022. But, your husband can start collecting at age 70 and then have his benefit rate recalculated later to include his 2021 earnings. Social Security would automatically recalculate your husband's benefits if his 2021 earnings are high enough to raise his rate, but not until the latter part of 2022. They would pay any back pay due as a result of the recalculation retroactive to January 2022.

Best, Jerry